BILL ANALYSIS �
AB 297
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CONCURRENCE IN SENATE AMENDMENTS
AB 297 (Chesbro)
As Amended July 2, 2013
Majority vote
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|ASSEMBLY: |75-0 |(May 2, 2013) |SENATE: |37-0 |(September 3, |
| | | | | |2013) |
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Original Committee Reference: HEALTH
SUMMARY : Authorizes a primary care clinic to submit
verification of certification from the Accreditation Association
for Ambulatory Health Care (AAAHC) or any other accrediting
organization recognized by the Department of Public Health (DPH)
to the Licensing and Certification (L&C) Division of the DPH for
purposes of data collection and extraction for licensing and
certification fee calculations.
The Senate amendments additionally authorize a primary care
clinic to submit verification of certification from any other
accrediting organization recognized by DPH.
EXISTING LAW authorizes primary care clinics to submit
verification of Joint Commission on Accreditation of Healthcare
Organization (JCAHO) certification to the L&C Division within
DPH for entry into the electronic Licensing Management System
for purposes of data collection and extraction for licensing and
certification fee calculations.
FISCAL EFFECT : None
COMMENTS : The California Primary Care Association (CPCA) is the
sponsor of this bill. According to the author and CPCA, this is
a technical cleanup bill to reflect current practice. Adopting
verification from these entities in lieu of DPH site inspections
expedites the process and reduces state costs that otherwise
would be required for the site inspections and data collection.
The fees are collected annually, and re-inspection is required
every three years.
Primary care clinics are required to be licensed through the
authority of the DPH. Community clinics and free clinics are
two types of primary care clinics. Examples of community
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clinics are federally qualified health centers (FQHCs) and rural
health centers. DPH utilizes standards defined in state and
federal law and regulations to evaluate health facility
compliance. The licensing and certification process is intended
to both ensure public safety at community clinics, and to
prevent fraud and abuse of the Medi-Cal and Medicare billing
systems. There are numerous regulations that clinics must meet
regarding physical plant and facility building standards,
pharmaceutical storage and administration, data reporting, basic
services, and staffing in order to obtain and maintain a primary
care clinic license. The clinic must have the following
documents: clinic operational policies and procedures, transfer
agreements, service agreements, written administrative policies,
employee records, employee health examinations and health
records, emergency management plans, and a quality assurance
evaluation policy. The California Health and Safety Code, the
California Code of Regulations, and other state and federal
regulations contain specific requirements for primary care
clinics.
Currently DPH licenses FQHCs that comply with state safety
standards. DPH conducts site inspections and compiles
information to verify and certify compliance with those safety
standards, and also to determine the appropriate calculation of
the DPH's licensing and certification fees. Existing law
provides that in lieu of a DPH site inspection, a FQHC can
submit certification from the JCAHO verifying that the FQHC was
inspected by JCAHO and is in compliance with the state's safety
standards. Since the statute was enacted, DPH accepts
verification of compliance from an additional accreditation
entity, the AAAHC. Accrediting entities are independent
non-profit organizations. Accreditation is not required for an
FQHC to operate, but it does certify that the FQHC has met state
standards to assure quality services and facilities. FQHCs
contract with an accrediting entity for inspection and
verification of compliance with state standards.
Analysis Prepared by : Rosielyn Pulmano / HEALTH / (916)
319-2097
FN: 0001457
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